Integrated Marketing Communications: Advertising

8/11/2019 Integrated Marketing Communications: Advertising

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IS 3D THE FUTURE?

• Ever since the introduction of 3D movies, 3D

advertisements is becoming popular in movie

theaters especially in high profile films.

IS 3D THE FUTURE?

• Today, many people bought and used HD flat

screen TVs but a few “innovators” have

already have 3D vision TV.

• This new type of TV platform has made many

cable channel networks to embrace 3D to take

advantage to this growing media usage and is

said that in the U.S. 25% in 2013 is now

composed of household with 3D TVs.

IS 3D THE FUTURE?

• In Japan, Fuji Television Network has launched

its first 3D Television Drama Series.

• But many companies are skeptical about the

future of 3D.

1. 3D Technology is expensive for the consumers

2. Producing a 3D commercial is also expensive

• Until the day will come that 3D technology will

become a need and will be less expensive, it

will remain in theaters for now.

THE NATURE OF ADVERTISING

• Advertising is part of our daily lives.

• We can see it as positive.

• Other times we avoid it.

• It informs persuades and entertain us.

• Some boring annoying and offending to us.

ADVERTISING

• Paid form of nonpersonal communication that

is transmitted to a target audience through

mass media

ADVERTISING

• When people are ask to name major

advertisers, they usually mention the name of

the business.

• Non-business organization also do advertising.

– Church

– Universities

– Government

– Charitable Organizations

ADVERTISING

• Companies used advertisements not only to

promote products and services but images,

issues, people, ideas and anything the

advertisers want to publicize.

INSTITUTIONAL ADVERTISING

• Advertising that promotes organizational

images, ideas and political issue.

• This deal with broad image issues like

organizational strength or friendliness of

employees.

• It also tries to create a more favorable view of

the organizations in the eyes of almosteveryone.

ADVOCACY ADVERTISING

• An institutional advertising that company’s

use to promote its position on a public issue.

– Tax increase

– Abortion

– Gun Control

– Many others

PRODUCT ADVERTISING

• Advertising that promotes the uses, features

and benefits of products.

PIONEER ADVERTISING

• Advertising that tries to stimulate the

demand for a product category rather than a

specific brand by informing potential buyers

about the product.

• It informs people about the product in the

introductory stage.

COMPETITIVE ADVERTISING

• Tries to stimulate demand for a specific brand

by promoting its features, uses and

advantage over competing brands.

COMPARATIVE ADVERTISING

• A direct product comparison form of

competitive advertisement.

• Compares a sponsored brand with one or

more identified competing brands on the

basis of one or more product characteristics.

REMINDER ADVERTISING

• Advertising used to remind consumers about

an established brand’s uses, characteristics

and benefits.

REINFORCEMENT ADVERTISING

• Advertising that assures users they chose the

right brand and tells them how to get the

most satisfaction from it.

PERSUASIVE ADVERTISING

• Advertising used to persuade customers from

building brand preference, encourage brand

switching, change customer’s perception and

purchase

ADVERTISING CAMPAIGN

• This involves designing a series of

advertisements and placing them in various

advertising media to reach a particular target

audience.

GENERAL STEPS IN DEVELOPING AND

IMPLEMENTAING AN ADVERTISING

CAMPAIGN

1. Identify and Analyze Target Audience

2. Define Advertising Objectives

3. Create Advertising Platform

4. Determine Advertising Appropriation

5. Develop Media Plan

6. Create Advertising Message

7. Execute Campaign

8. Evaluate Advertising Effectiveness

Identify and Analyze Target Audience

• Target Audience – a group of people whom

the advertisements are aimed.

– Location and Geographic distribution

– Demographic Factors

– Consumer Attitudes

• The more the advertiser know about the

target audience, the more like the firm is goingto develop an effective advertising campaign.

Define Advertising Objectives

• Stated clearly

•Precise

• Measurable terms

• Time frame

• This will allow advertisers to evaluateadvertising success at the end of the campaign

to see if the objectives have been met.

Define Advertising Objectives

• The most common advertising campaign

objectives is to increase sales.

• Some aim to change consumer attitudes,

increase brand awareness, heighten consumer

knowledge or create awareness of consumer

behavior.

Create Advertising Platform

• Before politicians launch their campaign, theleaders have to develop a political platformstating major issues that are the basis of the

campaign.• Advertising Platform – basic issues or selling

points to be included in an advertisement.

• A single advertisement in a campaign may

contain one or several issues from the platform.

Create Advertising Platform

•This should consist of issues important to thecustomers.

• The best to do this is to survey.

Determine Advertising Appropriation

• Advertising Appropriation – the total amount

of money a marketer allocates for advertising

for a specific time period.

– Geographic size

– Market Size

– Distribution

• Affordable Method – setting the promotion

budget at the level management things the

company can afford.

• Percentage-of-Sales Method – setting the

promotion budget at a certain percentage ofcurrent of forecasted sales or as a percentage

of the unit sale or price.

• Competitive Matching Method – determiningthe advertising budget by trying to match

competitor’s outlays.

• Objective-and-task method – budgeting foran advertising campaign by determining the

objectives and then calculate the cost of all

the tasks needed to attain them. • Arbitrary Method – budget for an advertising

campaign as specified by the top level

executive of the firm.

HOW MUCH COMPANIES SPEND IN

ADVERTISING?

• Courtesy of Kantar Media, Advertising Expenditure Report 2013

ADVERTISING?

D l M di Pl

Develop Media Plan

• Media Plan – a plan that specifies the media

tools to use and schedule for running

advertisements.

• Reach – the percentage of consumers in the

target audience that are exposed to the

advertisement.

• Frequency – the number of times the target

audience are exposed by the advertisement.

Develop Media Plan

• What kind of media to be used? – Traditional Media

– Digital Media

• Factors – Demographics Characteristics

– Location

ADVANTAGES OF NEWSPAPERS

• Reaches a large audience

• Purchased to be read

• Geographic flexibility

• Short Lead Time

• Frequent Publication

Favorable Cooperative Advertising• Merchandising Services

DISADVANTAGES OF NEWSPAPERS

• Not selective for target markets

• Short life

• Limited reproduction capabilities

• Large advertising volume limits exposure to

any one advertisement.

ADVANTAGES OF MAGAZINES

• Demographic Selectivity

• Good reproduction

• Long life

• Prestige

• Geographic Selectivity

Read in a leisurely manner

DISADVANTAGES OF MAGAZINES

• High cost

• 30-90 day average lead time

• High level of competition

• Limited reach

• Communicates less frequently

ADVANTAGES OF DIRECT MAIL

• Little wasted circulation

• Highly selective

• Circulation controlled by advertiser

• Few distractions

• Personal stimulation actions

• Use of novelty

• Relatively easy to measure performance

• Encourages use of imagination

DISADVANTAGES OF DIRECT MAIL

• Very expensive

• Lacks editorial content to attract readers

• Often thrown away as junk mail

• Criticized as invasion of privacy

• Consumers must choose to read the ad.

ADVANTAGES OF RADIO

• High reach (at least 95% of consumers)

• Highly mobile and flexible

• Very low relative cost

• Ad can be changed quickly (if necessary)

• High level of geographic and demographic

selectivity

• Encourage use of imagination

DISADVANTAGES OF RADIO

• Lacks visual imagery

• Short life of message

• Limited attention from consumers due to

other activities.

• Market fragmentation

• Difficult buying procedure

• Limited media and audience reach.

ADVANTAGES OF TELEVISION

• Reach large audience

• High frequency

• Dual impact of visual and audio

• Highly visible

• High prestige

Geographic and demographic selectivity• Difficult to ignore

DISADVANTAGES OF TELEVISION

• Very expensive

• Highly perishable message

• Size of audience not guaranteed

• Prime time is limited and more expensive

• Lack of selectivity.

ADVANTAGES OF INTERNET

• Immediate response

• Potential to reach a precise target audience

• Ability to track customers and build databases

• Highly interactive.

DISADVANTAGES OF INTERNET

• Cost of precise targeting are high

• Inappropriate ad placement

• Amount of prime time limited

• Lack of selectivity in target market

• Issues of privacy.

ADVANTAGES OF OUTDOOR

• Allows of frequency repetition

• Low cost

• Message can be placed close to point of sale.

Geographic selectivity.• Operable 24 hours a day

• High creativity and effectiveness.

DISADVANTAGES OF OUTDOOR

• Message must be short and simple.

• No demographic selectivity.

• Seldom attracts reader’s attention/

• Criticized as a traffic hazard

• Limited capabilities.

M di Ti i

Media Timing

• Continuity – scheduling ads evenly within a

given period.• Pulsing – scheduling ads unevenly over a

given time period.

C ti th Ad ti i M

Creating the Advertising Message

• Basic Content Form and Function of the

Message

• Product Features and Benefits

• Characteristics of Target Audience.

• Words used

C ti th Ad ti i M

Creating the Advertising Message

• Regional Issues – versions of magazines acrossdifferent geographic regions

• The verbal potion of advertisements

• The headline is critical because it is always a

part of advertisement that is included.

• Subheadline (if there is) serves as an explains

the headline.

• Story board – a blue print that combines copy

and visual material to show the sequence of

major scenes in a commercial.

Commonly Adopted Guidelines in

1. Identify a specific desire or problem

2. Recommend the product as the best way to

satisfy that desire.

3. State product benefits based on consumer

situations.

4. Substantiate advertising claims

5. Ask the buyer to take action.

Artwork

• Art work – an advertisement’s illustration and

layout.

• Illustrations – photos, drawings, graphs,

charts, and tables used to spark audienceinterest in an advertisement.

• Layout – physical arrangement of the

illustration and the copy (headline,subheadline, body, copy, signature, etc.)

Executing the Campaign

• Requires extensive planning and coordinationbecause many tasks must be completed ontime and several people and firms areinvolved.

• Implementation requires detailed schedules toensure that the work is done on time.

• Evaluate the quality of the work.

• Sometimes changes are made during thecampaign so it meets objectives moreeffectively.

Execution Styles

• Slice of Life – people using the product in anormal setting.

• Lifestyle – how a product fit with a certain

lifestyle.• Fantasy – creating a fantasy around the

product or its use.

• Mood or Image – this style builds a mood orimage around the product like beauty, love orserenity.

Execution Styles

• Musical – a style showing people or cartoonssinging about a product.

• Personality Symbol – a style that creates acharacter that represent the product.

• Technical Expertise – shows the company’s expertise in making the product.

• Scientific Evidence – presents survey or evidencethat the brand is better than other brands, etc.

• Testimonial Evidence or Endorsement – stylefeatures a highly believable or likable sourceendorsing the product.

Evaluating Advertising Effectiveness

• Test the effectiveness of the advertising.

This include measuring the achievement ofthe objectives.

• Effectiveness of copy, illustrations and layouts

Evaluating certain media.• Can be evaluated before and after the

campaign.

• Pretest – evaluation of advertisements before

they begin.

• Consumer Jury – are used during pretestperiod. They are existing or potential buyers

who will judge or panel the advertisement.

• Inquiries – they help to measure theeffectiveness of the advertisement during the

campaign.

• Post Test – evaluation of advertising

effectiveness after the campaign.

Recognition Test – a posttest in whichrespondents are shown the actual ad and are

asked if they recognize it.

• Unaided Recall Test – a posttest where the

respondents are asked to identifyadvertisements they have seen but there are

no clues to help them remember.

•Aided Recall Test – a posttest where therespondents are ask to identify ads and

provides clues to jog their memories.

WHO DEVELOPS THE ADVERTISING

CAMPAIGN?

• It can be handled by an individual, a fewpeople in a firm, the firm’s own advertising

team or an advertising agency.

• In small firms, it usually just the personnelwith the help with the local agencies or media

representatives.

• Large firms can create their own andimplement the advertising campaigns.

Integrated Marketing Communications: Advertising

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